Pension Schemes Act 2021

119 Information from occupational pension schemes

(1) The Pensions Act 2004 is amended as follows.

(2) After section 238C of the Pensions Act 2004 (inserted by section 118) insert—

“238D Information from occupational pension schemes

(1) Regulations may impose requirements on the trustees or managers of a relevant occupational pension scheme with respect to—

(a) providing pensions information by means of—

(i) a qualifying pensions dashboard service, or

(ii) the pensions dashboard service provided by the Money and Pensions Service;

(b) facilitating the provision of pensions information by means of—

(i) a qualifying pensions dashboard service, or

(ii) the pensions dashboard service provided by the Money and Pensions Service.

(2) In this section “pensions information” means, in relation to a relevant occupational pension scheme, such information as may be prescribed, which may include in particular—

(a) information relating to—

(i) the constitution of the scheme,

(ii) the administration and finances of the scheme,

(iii) the rights and obligations that arise or may arise under the scheme,

(iv) the pensions and other benefits an entitlement to which would be likely to accrue to a member, or be capable of being secured by a member, in respect of the rights that may arise under the scheme, and

(v) other matters relevant to occupational pension schemes in general or to occupational pension schemes of a description to which the scheme belongs;

(b) information as regards the position of an individual in relation to the scheme.

(3) Regulations under subsection (1) may, in particular, impose requirements about—

(a) the persons to whom pensions information must be provided;

(b) the circumstances in which pensions information must be provided;

(c) the steps to be taken before pensions information may be provided;

(d) the manner and form in which pensions information must be provided;

(e) the time within which pensions information must be provided;

(f) the way in which pensions information must be held.

(4) Regulations under subsection (1) may require the trustees or managers of a scheme to comply with standards, specifications or technical requirements published from time to time by—

(a) the Secretary of State,

(b) the Money and Pensions Service, or

(c) a person specified or of a description specified in the regulations.

(5) Regulations under subsection (1) may include provision under which a determination may fall to be made by—

(a) the Secretary of State,

(b) the Money and Pensions Service, or

(c) a person specified or of a description specified in the regulations.

(6) Regulations under subsection (1) may require the trustees or managers to provide prescribed information about their carrying out of requirements prescribed under this section to—

(a) the Regulator,

(b) the Money and Pensions Service, or

(c) a person specified or of a description specified in the regulations.

(7) In complying with requirements prescribed under this section, a trustee or manager of an occupational pension scheme must have regard to guidance issued from time to time by—

(a) the Secretary of State, or

(b) a person specified or of a description specified in the regulations.

238E Information from occupational pension schemes: further provision

(1) Regulations under section 238D(1) may make provision about—

(a) how pensions information is to be provided, including provision about the use of intermediaries;

(b) the involvement of the trustees or managers of a scheme in the arrangements for dealing with requests for information about pensions.

(2) The provision made by virtue of subsection (1) may, in particular, require—

(a) the use of electronic communications;

(b) the use of facilities or services specified or of a description specified in the regulations;

(c) the provision of assistance in connection with the establishment, maintenance or management of such facilities or services;

(d) participation in, or compliance with, arrangements for establishing, maintaining or managing such facilities or services.

(3) The facilities and services for which provision may be made by virtue of subsection (2)(b) may include facilities or services with functions relating to—

(a) the transmission of information,

(b) verifying the identity of a person,

(c) identifying the occupational or personal pension scheme or schemes under which pensions are payable to or in respect of a particular individual,

(d) authenticating information transmitted by means of electronic communications, or

(e) ensuring the security of information transmitted by means of electronic communications.

(4) Regulations under subsection (2)(b) may impose requirements as regards a facility or service, including requirements about—

(a) compliance with standards, specifications or technical requirements published from time to time by—

(i) the Secretary of State,

(ii) the Money and Pensions Service, or

(iii) a person specified or of a description specified in the regulations;

(b) the provider of the facility or service being a person approved from time to time by—

(i) the Secretary of State,

(ii) the Money and Pensions Service, or

(iii) a person specified or of a description specified in the regulations.

(5) Regulations under subsection (2)(d) may, in particular, require the trustees or managers—

(a) to cooperate with the Money and Pensions Service or other persons specified or of a description specified in the regulations;

(b) to coordinate activities with the Money and Pensions Service or other persons specified or of a description specified in the regulations.

(6) Except as provided by subsection (7), regulations under section 238D(1) may provide for the processing of personal data in accordance with the regulations not to be in breach of—

(a) any obligation of confidence owed by the person processing the personal data, or

(b) any other restriction on the processing of personal data (however imposed).

(7) Regulations under section 238D(1) are not to be read as authorising or requiring such processing of personal data as would contravene the data protection legislation (but in determining whether particular processing of data would do so, take into account the power conferred or duty imposed by the provision of regulations in question).

238F Sections 238D and 238E: interpretation

(1) This section has effect for the purposes of sections 238D and 238E.

(2) A reference to the Money and Pensions Service includes a reference to a person with whom arrangements are made under section 5(1), (2) or (3) of the Financial Guidance and Claims Act 2018.

(3) In sections 238D and 238E—

• “the data protection legislation” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act);

• “pensions dashboard service” means—

  (a)

  a pensions dashboard service within the meaning of section 238A, or

  (b)

  a pensions dashboard service within the meaning of Article 215A of the Pensions (Northern Ireland) Order 2005 (S.I. 2005/255 (N.I. 1));

• “personal data” has the same meaning as in the Data Protection Act 2018 (see section 3 of that Act);

• “qualifying pensions dashboard service” means a pensions dashboard service that satisfies—

  (a)

  such requirements as may be prescribed by regulations under section 238A, or

  (b)

  such requirements as may be prescribed by regulations under Article 215A of the ;

• “relevant occupational pension scheme” means an occupational pension scheme which is not a stakeholder pension scheme (as defined in section 1 of the Welfare Reform and Pensions Act 1999).

238G Compliance

(1) Regulations may make provision with a view to securing that the trustees or managers of a relevant occupational pension scheme comply with a provision of regulations under section 238D.

(2) The regulations may, among other things—

(a) provide for the Regulator to issue a notice (a “compliance notice”) to a person with a view to ensuring the person’s compliance with a provision of regulations under section 238D;

(b) provide for the Regulator to issue a notice (a “third party compliance notice”) to a person with a view to ensuring another person’s compliance with a provision of the regulations;

(c) provide for the Regulator to issue a notice (a “penalty notice”) imposing a penalty on a person where the Regulator is of the opinion that the person—

(i) has failed to comply with a compliance notice or third party compliance notice, or

(ii) has contravened a provision of regulations under section 238D;

(d) provide for the making of a reference to the First-tier Tribunal or Upper Tribunal in respect of the issue of a penalty notice or the amount of a penalty;

(e) confer other functions on the Regulator.

(3) The regulations may make provision for determining the amount, or the maximum amount, of a penalty in respect of a failure or contravention.

(4) But the amount of a penalty imposed under the regulations in respect of a failure or contravention must not exceed—

(a) £5,000, in the case of an individual, and

(b) £50,000, in any other case.

(5) In this section “relevant occupational pension scheme” has the meaning given by section 238F.”

(3) In section 310 (admissibility of statements), in subsection (3)(b), after sub-paragraph (ai) (inserted by paragraph 11 of Schedule 7) insert—

“(bi) section 238G (penalties for contravention of regulations under section 238D),”.

(4) In section 316 (Parliamentary control of subordinate legislation), in subsection (2) (affirmative resolution procedure), after paragraph (ka) (inserted by section 118) insert—

“(kb) regulations under section 238D (information from occupational pension schemes);

(kc) regulations under section 238G (compliance with regulations under section 238D);”.

(5) In Schedule 1 (the Pensions Regulator), in Part 4 (proceedings and delegation etc), in paragraph 21(2), after paragraph (e) insert—

“(ea) the power to issue a compliance notice under regulations under section 238G;

(eb) the power to issue a third party compliance notice under regulations under section 238G;

(ec) the power to issue a penalty notice under regulations under section 238G;”.